Sovereign Network Group (202233938)
REPORT
COMPLAINT 202233938
Sovereign Network Homes
20 December 2024
Our approach
The Housing Ombudsman’s approach to investigating and determining complaints is to decide what is fair in all the circumstances of the case. This is set out in the Housing Act 1996 and the Housing Ombudsman Scheme (the Scheme). The Ombudsman considers the evidence and looks to see if there has been any ‘maladministration’, for example whether the landlord has failed to keep to the law, followed proper procedure, followed good practice or behaved in a reasonable and competent manner.
Both the resident and the landlord have submitted information to the Ombudsman and this has been carefully considered. Their accounts of what has happened are summarised below. This report is not an exhaustive description of all the events that have occurred in relation to this case, but an outline of the key issues as a background to the investigation’s findings.
The complaint
- The complaint is about:
- The landlord’s handling of the resident’s reports of damaged flooring following a leak.
- The landlord’s handling of the resident’s request for information about the increase in the rent and service charges.
- The landlord’s handling of the resident’s complaint.
Background
- The property is a 2-bedroom flat which the resident leases under a shared ownership agreement with the landlord, which is a housing association. He signed the lease agreement on 30 November 2022 and was the first resident to occupy the property. There are no vulnerabilities recorded for the resident on the landlord’s housing records.
- The property benefited from a 12-month defects liability warranty that expired on 14 November 2023.
- The resident told the landlord on 15 December 2022 that the developer had visited his home and checked the flooring in the bathroom and living room following a leak. He said new flooring would need to be laid once the property dried out.
- The resident made a complaint on 16 January 2023. He said the landlord failed to respond to emails he sent in December 2022 and the developer had failed to provide dehumidifiers, despite agreeing to do so. He also said he had not received a response to his request for information about any potential changes to his rent following the government’s budget announcement.
- The landlord told the resident on 18 January 2023 that the developer was aware of the issue with the flooring and it would be replaced once the property had dried out. The developer confirmed on 31 January 2023 that it had removed the damaged flooring and it would lay new vinyl flooring and refit the bath panel once the property had dried out.
- The resident asked the landlord on 2 February 2023 when the new flooring would be fitted. He also asked the landlord to check the flooring in the kitchen and living room and the utility cupboard in the communal hallway adjacent to his flat. He told the landlord on 27 February 2023 that the service charge he paid for cleaning the communal areas did not represent value for money given the contractor had only visited once since he moved in.
- The landlord issued its stage 1 complaint response on 14 March 2023 and said the delay in fitting the new flooring in the resident’s home was due to supply issues. It also said it was chasing the developer and a delivery was expected at the end of March 2023, although no specific date could be provided.
- The resident responded on the same day and noted the landlord had failed to address his concerns about the living room floor and service charges. The landlord confirmed it would escalate his complaint.
- The landlord arranged for the flooring in the bathroom to be replaced on 3 April 2023, but the work was not completed. It told the resident this was because the supplier did not arrive on site. The resident responded on the same day and noted the flooring in his property and the utility room needed to be checked. He also said he was still waiting for a response to his complaint about the lack of clarity with regards to the increase in his rent and service charges.
- The landlord issued a further stage 1 complaint response on 5 April 2023 in relation to the increase in rent and service charges and said:
- Rent levels for the 2023/24 financial year had been increased by 7% in line with guidance set by the government
- The estimated service charges for the 2023/24 financial year remained the same as the previous year, apart from the building insurance charge. This had increased due to its insurer increasing its premiums, over which the landlord had no control
- The service charge for covering the building insurance was split equally between all of the residents who paid it
- The landlord arranged a further appointment to replace the flooring on 13 April 2023 for the following day, but this was cancelled. The landlord said this was because the contractor had rearranged its work schedule. The resident again asked for clarification as to whether the flooring in the living room would be checked and noted it was water damaged.
- The landlord issued its final complaint response on 21 April 2023 and said:
- The delays in fitting the new flooring were due to supply issues and it was sorry it could not give a specific time slot to complete the work
- It was sorry the appointment scheduled for 3 April 2023 had been cancelled. Two further appointments were offered but did not go ahead. This was because the resident was unavailable for one of the appointments and the other one had been offered to a different resident. It had asked the resident for his availability and it would arrange an appointment as soon as possible
- It was sorry for not responding to the resident’s emails. This was because of an increase in enquiries and long-term staff sickness. Actions had been put in place to resolve the matter
- It would offer the resident £115 compensation. This was made up of £20 compensation for the 2 missed appointments and £5 per week for the 19-week delay in resolving the issue with the flooring
- It did not uphold the resident’s complaint about the increase in rent and service charges
Post complaint events.
- The landlord provided the resident with a copy of the communal cleaning schedule on 4 May 2023.
- The landlord told this Service that the developer was unable to complete the end of defects inspection of the property in January 2024 due to no access.
Assessment and findings
The landlord’s handling of the resident’s reports of damaged flooring following a leak.
- This Service recognises that there may be defects and snagging in new build properties, which may not have been identified in the initial build. Shared owners are therefore protected by the defects period and the warranties that are in place. The existence of defects alone would therefore not constitute a failure in the landlord’s service.
- When a property is built, the developer is responsible for any snagging and defects that are identified during the warranty period. The landlord is responsible for liaising with the developer and advocating on behalf of the resident when defects are identified. This includes holding the developer to account when issues are not resolved.
- In this case, the new build property was subject to a 12-month defects period during which time the developer was responsible for rectifying any defects within the property. The defect liability warranty expired on 14 November 2023.
- The landlord’s home user guide confirms residents are required to report defects to the landlord, who then refer the matter on to the developer for actioning. The home users guide also confirms the following target response times for dealing with defects:
- Emergency works are completed within 24 hours of notification
- Essential works are completed within 7 days of notification
- General repairs are completed within 4 weeks of notification
- The landlord did not provide this Service with details on the process for dealing with defects that are not resolved by the completion date. Neither are there any details included in the developer’s defect policy.
- The landlord’s compensation policy says it may offer compensation if it fails to deliver a service or causes a resident distress or inconvenience. No reference is made in the policy to missed appointments. Cases are considered on a case-by-case basis. Remedies include undertaking work for residents, offering good will gestures such as vouchers up to the value of £25 and paying compensation for any financial losses incurred by the resident as a direct result of the landlord’s actions or lack of action.
- The housing records confirm the resident told the landlord on 15 December 2022 that the flooring in the bathroom and kitchen were damaged following a leak. He said the developer had visited his home and checked the flooring, although no details about the visit were shared with this Service. This demonstrates poor record keeping. This Service expects landlords to keep accurate and clear records of contacts and repairs. This is because clear, accurate, and easily accessible records provide an audit trail and enhance landlords’ ability to identify and respond to problems when they arise.
- There is no evidence the landlord responded to the resident or provided clarity on the next steps, despite his request for this information. This was a failure. There is also no evidence the landlord contacted the developer at this point. Although the works were being scheduled and undertaken by a third party, it would have been reasonable for the landlord to have proactively pursued the outstanding works on behalf of the resident.
- The resident made a complaint on 16 January 2023. It was appropriate for the landlord to raise a job on 17 January 2023 for the developer to replace the flooring in the bathroom and reseal the bath panel, with a target completion date of 14 February 2023. This was in accordance with the repair targets set out in the landlord’s home users guide and demonstrated it wanted to put things right for the resident. An update was provided to the resident on 18 January 2023. This was appropriate.
- The developer confirmed on 31 January 2023 that the flooring had been removed and that it would lay new vinyl flooring and refit the bath panel once the property had dried out. It is unclear from the housing records, however, whether the developer provided the resident with a dehumidifier or when the new flooring was ordered.
- It was reasonable for the landlord to contact the resident on 1 February 2023 and ask him if the developer had provided a dehumidifier and to note that it would arrange for one to be dropped off if not. This demonstrated it was resolution focused and wanted to put things right for the resident.
- The resident confirmed on 2 February 2023 that the property had dried out and he was waiting for confirmation of the date when the new flooring would be laid. He also noted the flooring in the kitchen and living room needed to be checked for water damage, along with the floor in the utility room in the communal hallway. It was appropriate for the landlord to pass on the resident’s concerns to the developer on 8 February 2023 and ask it to investigate the matter further. It provided the resident with an update and said the developer would contact him directly.
- The resident told the landlord on 27 February 2023 that he spoke to the developer on 9 February 2023 and was advised there would be a delay in completing the work as the new flooring needed to be imported from abroad. He also noted the developer had agreed to check the moisture levels underneath the living room floor but did not turn up. The resident confirmed he had purchased a moisture metre and identified there was water underneath the living room floor.
- It was reasonable for the landlord to attempt to contact the resident on 27 February 2023 and 1 March 2023, although it was unable to get hold of him. There is, however, no evidence it chased up the developer. This was a failure.
- The resident told the landlord on 7 March 2023 that it was difficult to take telephone calls whilst at work and he had difficulties getting hold of the member of staff when he returned her calls. It was reasonable for the landlord to offer the resident an apology on 9 March 2023 for missing his calls and for the delays in completing the work. It said this was because the developer was waiting for a delivery from abroad. This ensured it kept the resident updated. It also said it was regularly chasing up the developer for an update.
- The resident told the landlord on 10 March 2023 that no one had visited his property to inspect the living room floor and he was still waiting for a timeline for the work to be completed. He also noted the flooring in the downstairs flat had been replaced with carpets following the leak and queried why alternative flooring had not been considered for his property. There is no evidence the landlord considered the resident’s request or responded to his concerns. This was a further failure. It would have been reasonable for the landlord to have discussed alternative solutions with the developer given the delays in securing the flooring.
- The landlord confirmed on 14 March 2023 in its stage 1 complaint response that the delay in completing the work was due to supply issues. It also told the resident that the new flooring was due to be delivered by the end of March 2023, but it was unable to give a specific date. This was reasonable given it had no control over the delivery timescale and ensured it managed the resident’s expectations.
- There is, however, no evidence the landlord discussed whether alternative flooring options were available or chased it up the resident’s concerns about the living room floor with the developer. This was a failure. Neither did it offer the resident compensation for the delays. This was not in accordance with the landlord’s complaints policy.
- The landlord told the resident on 23 March 2023 that the developer was hoping to lay the new flooring in the ‘‘next few weeks.’’ It also confirmed it had spoken to the developer about the other flooring and it had been agreed this would be taken up if water damaged. This demonstrated it wanted to put things right for the resident. It did not, however, confirm if the developer would replace the living room flooring, despite the resident’s request for clarification. This was a failure and meant the resident was unclear on what work would be completed.
- The landlord contacted the resident on 27 March 2023 and agreed an appointment for 3 April 2023 to replace the flooring, although this did not take place. The landlord told the resident this was because the contractor did not turn up on site. This caused the resident inconvenience and distress. It is evident he was concerned about the potential damage caused by the water and the risk of mould growth.
- Whilst it was appropriate for the landlord to offer an apology, it did not respond to the resident’s request to check the flooring in his living room and the utility cupboard. This was a failure. Neither did it respond to his further request that was made on 6 April 2023.
- The landlord confirmed on 13 April 2023 that an appointment had been made for the following day to replace the flooring. The visit did not, however, take place. The landlord told the resident this was because the contractor had rearranged its work schedule. This caused the resident further inconvenience and distress. He said the contractor had failed to attend on 2 occasions and noted his concerns were being ignored.
- The landlord confirmed on 19 April 2023 that an appointment had been arranged for the following day to refix the bath panel. The resident told the landlord on 20 April 2023 that the job was not completed as the contractor did not bring the correct tools. He did, however, note that the contractor took photographs of the living room flooring. He also said the contractor agreed to return on 21 April 2023 to refit the bath panel, although it is unclear from the housing records whether the job was completed.
- It was appropriate for the landlord to offer an apology and to acknowledge in its final complaint response on 21 April 2023 that the estimated delivery date included in the stage 1 complaint response was vague. It also confirmed it had chased up the developer and offered £20 compensation for the missed appointments and £95 compensation for the delays in completing the work. This was fair in the circumstances and demonstrated the landlord wanted to put things right for the resident.
- It was reasonable for the landlord to confirm that it would arrange an appointment for the work to be completed as soon as possible, although no specific date was given. The landlord did not, however, address the resident’s concerns about the living room floor or consider alternative options to resolve the matter with the developer.
- In summary, the developer was responsible for the replacement of the flooring and the delays in doing this. Whilst the landlord initially failed to liaise with the developer, it did later ordered a job for the bathroom flooring to be replaced and it asked the developer to check the flooring in the living room. Its communication with the resident was, however, poor at times and it could have taken a more proactive approach to the situation and liaised with the developer more effectively.
- The landlord’s offer of offer of compensation was reasonable in the circumstances and no further compensation has been awarded. In this case there was reasonable redress by the landlord in its handling of the resident’s reports of damaged flooring following a leak.
The landlord’s handling of the resident’s request for information about the increase in the rent and service charges.
- The housing records confirm the resident told the landlord on 16 January 2023 that his query about potential changes to the rent levels had not been answered. Whilst it was reasonable for the landlord to confirm on 1 February 2023 that it had referred the matter to its rent and finance team, there is no evidence a response was sent to the resident. This was a failure and meant the resident was unclear why his rent and service charges were increasing.
- The landlord also failed to respond to his follow up email of 27 February 2023 in which he asked for information regarding the communal cleaning service charge, which he said did not represent value for money. He said this was because the communal area had only been cleaned once since he moved in and when it was cleaned, this was done to a poor standard.
- The landlord did not address the resident’s query about the rent and service charges in its stage 1 complaint response issued on the 14 March 2023. This was a failure and meant the resident remained unclear on the reasons why his rent and service charges were increasing.
- It was reasonable for the landlord to confirm on 23 March 2023 that it would chase up the matter, but only did this following further contact from the resident. There is no evidence the landlord provided a response at this stage. This was a further failure.
- The resident told the landlord on 3 April 2023 that he was still waiting for a response and asked it to clarify why the building insurance had increased given he had only been in the property for a short period of time and had not made a claim.
- The landlord issued a second stage 1 complaint response on 5 April 2023. While the landlord provided a detailed explanation about why the rent and service charges had increased, it did not advise him of his right to approach the First-Tier Tribunal (Property Chamber) if he was unhappy with the level of rent and service charges. It also failed to address his query about the communal cleaning service charge.
- The landlord reconfirmed its position regarding the rent and service charges in its final complaint response on 21 April 2023. This included noting the rent increase was in line with guidance set by the government and the estimated service charges for the 2023/24 financial year remained the same as the previous year, apart from the building insurance charge, over which it said it had no control. This provided clarity and ensured the landlord managed the resident’s expectations.
- Again, the landlord failed to provide a response to the resident’s query about the communal cleaning service charge or advise him of his right to approach the First-Tier Tribunal (Property Chamber) if he remained unhappy with the level of rent and service charges.
- In summary, there was a delay in providing the resident with an explanation as to why his rent and service charges had increased and he had to chase the landlord up on a number of occasions for a response. Whilst the landlord gave a detailed explanation in its complaint responses, it did not address the resident’s query regarding the communal cleaning service charge. Neither did it advise him of his right to approach the First-Tier Tribunal (Property Chamber) or offer any redress to put things right for the resident.
- It is evident the situation caused the resident inconvenience and distress. He had to chase up the landlord on numerous occasions and was not clear on what service he could expect to receive and when. In this case, there was maladministration by the landlord in its handling of the resident’s request for information about the increase in rent and service charges, for which it is ordered to pay £100 compensation.
The landlord’s handling of the resident’s complaint.
- The landlord’s complaints policy comprises of 2 stages, with stage 1 complaints responded to within 10 working days. Stage 2 complaints are reviewed by a senior manager (overseen by a director) and responded to within 20 working days. If extra time is required, the landlord says it will let the customer know and provide a response within 10 working days. The policy also says the landlord will keep residents updated whilst their complaint is investigated.
- The housing records confirm the resident made a complaint on 16 January 2023. The complaint was acknowledged on 18 January 2023 in accordance with the Ombudsman’s Complaints Handling Code (the Code). This says landlords must acknowledge complaints within 5 days of receipt.
- Whilst the landlord confirmed the nature of the complaint, it did not seek to understand the outcomes the resident was seeking and told him to contact other teams to discuss his concerns about the rent and key fob. This was not in accordance with the Code. This says landlords must accept a complaint unless there is a valid reason not to do so. The landlord also failed to advise the resident when he could expect to receive a response to his complaint. This was a failure.
- There is no evidence the landlord responded to the resident’s e-mail of 27 February 2023 in which he asked for an update on his complaint and details on the timescales for responding. This was a further failure.
- The resident asked the landlord on 7 March 2023 to clarify what stage his complaint was at. It was appropriate for the landlord to apologise for the delay in responding on 10 March 2023 and to confirm the complaint was at stage 1, although again gave no timescales for reply. This meant the resident was unclear when he would receive a response.
- The landlord issued its stage 1 complaint response on 14 March 2023; some 2 months after the complaint was made. This was not in accordance with the landlord’s complaints policy or the Code. The landlord did not address the resident’s complaint about the key fob or the rent and service charges. The Code says landlords should address all points raised in the complaint and provide clear reasons for any decisions, referencing the relevant policy, law and good practice where appropriate. It confirmed on 23 March 2023 that it would chase up the matter, but only did this following further contact from the resident. There is no evidence the landlord provided a response. This was a further failure.
- The landlord escalated the resident’s complaint on 14 March 2023. There is no evidence it sought to understand the complaint or the outcomes the resident was seeking. Neither did it tell the resident when he could expect a reply. This was not in accordance with the Code and led to the resident having to request an update on 3 April 2023.
- The landlord issued a second stage 1 complaint response on 5 April 2023. It did not offer an apology for the delay in responding. This was not in accordance with the landlord’s compensation policy. In addition, the landlord incorrectly advised the resident that he had exhausted the landlord’s complaints policy.
- The landlord issued its final complaint response on 21 April 2023. This was not in accordance with the time scales set out in the landlord’s complaints policy. This was a further failure. When considering how a landlord has responded to a complaint, this Service considers not just what has gone wrong, but also what the landlord has done to put things right in response to the complaint. This includes the steps the landlord has taken to address the shortcoming and prevent a reoccurrence, as well as any compensation offered. In this case, the landlord did not identify any learning or offer compensation for its poor complaints handling. This was a failure.
- In summary, the landlord did not follow its complaints policy and there were delays in issuing its complaint responses. It also failed to address all of the issues raised by the resident and did not identify any learning from its poor complaints handling. It is evident the situation caused the resident distress and inconvenience. He had to chase up the landlord on numerous occasions and was not clear on what action the landlord was taking to address his concerns. In this case, there was maladministration by the landlord in its handling of the resident’s complaint for which it is ordered to pay £150 compensation.
Determination
- In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was reasonable redress by the landlord in its handling of the resident’s reports of damaged flooring following a leak.
- In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was maladministration by the landlord in its handling of the resident’s request for information about the increase in rent and service charges,
- In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was maladministration by the landlord in its handling of the resident’s complaint
Orders and recommendations
Orders
- Within 4 weeks of the date of this report, the landlord is ordered to apologise to the resident for the failings set out in this report. A copy of the apology letter must be shared with this Service.
- Within 4 weeks of the date of this report, the landlord is ordered to pay the resident £250 compensation. This must be paid directly to the resident and made up as follows:
- £100 compensation for the distress and inconvenience caused to the resident by its handling of his request for information about the increase in rent and service charges.
- £150 compensation for the distress and inconvenience caused to the resident by its handling of his complaint.
- Within 4 weeks of the date of this report, the landlord is ordered to write to the resident setting out its position regarding the flooring in the property and the bath panel. The letter should set out the timescales for when each of the repairs will be completed, if they have not already been completed. A copy of the letter should be provided to this Service.
Recommendations
- The landlord pays the resident the £115 compensation previously offered, if not already paid.